Net Earnings (Loss) per Share

12 Months Ended

Dec. 31, 2021

Basic and diluted earnings (loss) per share are computed pursuant to the two-class method. Under the two-class method, the Company attributes net income to common stock and other participating rights (including those with vested share-based awards). Basic net earnings per share is calculated by taking net income, less earnings allocated to participating rights, divided by the basic weighted average common stock outstanding. Net loss per share is calculated by taking net loss divided by basic weighted average common stock outstanding as participating rights do not share in losses. In accordance with the two-class method, diluted net earnings (loss) per share is calculated using the more dilutive impact of the treasury-stock method or from reducing net income for the earnings allocated to participating rights. The following table sets forth the computation of net earnings (loss) per share on a basic and diluted basis pursuant to the two-class method for the periods indicated (in millions, except for share and per share data):


	Year Ended December 31,
	2021		2020		2019
Basic:
Net income (loss)	$	(102)	$	(225)	$	251
Less: net income attributable to participating rights	—		—		(14)
Net income (loss) attributable to common stockholders	$	(102)	$	(225)	$	237
Weighted average common shares outstanding, basic	211,436,542		199,260,410		199,141,090
Net earnings (loss) per share, basic	$	(0.48)	$	(1.13)	$	1.19
Diluted:
Net income (loss)	$	(102)	$	(225)	$	251
Less: net income attributable to participating rights	—		—		(14)
Net income (loss) attributable to common stockholders	$	(102)	$	(225)	$	237
Weighted average common shares outstanding, basic	211,436,542		199,260,410		199,141,090
Effect of dilutive potential common shares	—		—		452,010
Weighted average common shares outstanding, diluted	211,436,542		199,260,410		199,593,100
Net earnings (loss) per share, diluted	$	(0.48)	$	(1.13)	$	1.19

Due to the net loss for the years ended December 31, 2021 and 2020, diluted weighted average shares outstanding are equal to basic weighted average shares outstanding because the effect of all equity awards is anti-dilutive. Approximately 233,700 shares were excluded from the computation of diluted shares for the year ended December 31, 2019 as their impact would have been anti-dilutive.